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Will Visitors Lift NY out of the Doldrums?

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Will Visitors Lift NY out of the Doldrums? 20091123-NEWS--0001-NAT-CCI-CN_-- 11/20/2009 7:02 PM Page 1 INSIDE Powerful TOP STORIES women, but not Growing condo glut yet equal means even more —Jill Kaplan on the state of auction action ® women execs, PAGE 2 Page 11 Fox may have U.S., but for CNN, the VOL. XXV, NO. 47 WWW.CRAINSNEWYORK.COM NOVEMBER 23-29, 2009 PRICE: $3.00 world is its oyster PAGE 3 Inside Goldman’s CHUCK’S WAGON ROLLS $500M small-fry Sen. Schumer has initiative conquered D.C. But PAGE 3 now he has to deliver The city waits--and on health, biz, more waits--for Wall St.’s jobs train to arrive BY ERIK ENGQUIST PAGE 4 late one August night in 1998, as Want to guess what Charles Schumer was driving back a Rudy vs. Kirsten to his hotel after a dozen campaign events in western New York, he matchup look like? spotted a minor league baseball THE INSIDER, PAGE 8 stadium. The Buffalo Bisons were in extra innings, and the stands were packed. “You could see his eyes light up,” says Jack O’Donnell,an aide accom- panying the Brooklyn congressman, who was running for the U.S. Sen- ate. “He turned to me, and I said, ‘You don’t even have to say it.’ ” They drove up, pulled out a “Meet Congressman Chuck Schumer” sign and began working the crowd.“We spent an hour run- ning back and forth,” Mr. O’Don- nell recalls. “One kid came up to BUSINESS LIVES Chuck and said: ‘I’ve seen you on TV. Will you sign my baseball?’ GOTHAM GIGS See CHUCK’S WAGON on Page 14 He feeds into the P. 21 WHO’S WHO IN WASHINGTON The D.C. holiday cheer powers who matter most to NY biz P. 12 G ANNE FISHER says this getty images guy is a Scrooge P. 21 G MOVERS & SHAKERS Insurer talks about the HOLIDAY RETAIL HOLIDAY TOURISM health care mess P. 22 G GAEL GREENE tries a little this,a little that at A run on merchandise Will visitors lift NY Tanuki Tavern P. 23 year, the racks will be roomier and out of the doldrums? As shoppers spend the shelves more spacious. Stores INDEX again, stores have have slashed their inventories to avoid markdowns on excess goods. upwards of $400 a night.Instead of NEIGHBORHOOD JOURNAL _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _5 a hard time keeping So what happens when the mer- Cheaper airfares, reserving ahead, many guests are NEW YORK, NEW YORK _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _6 chandise runs out and consumers room rates should literally booking a room at the SMALL BUSINESS products in stock _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _7 are still shopping? help fill city’s hotels meatpacking district hot spot on REAL ESTATE DEALS PLUS _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _9 Thanks to the resurgence of the day they arrive. BY ADRIANNE PASQUARELLI Wall Street and the return of holi- “We are finding EDITORIAL _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _10 day bonuses, New Yorkers are everything extremely CLASSIFIEDS _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _16 as black friday approaches, re- opening up their wallets again. In BY LISA FICKENSCHER last-minute,” says Elon FOR THE RECORD 45M _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _18 tailers have hedged their bets and the tristate area, consumers are ex- NUMBER of people Kenchington, chief op- EXECUTIVE MOVES who will visit New York _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _21 placed their orders on everything pected to spend 24% more this hol- the holiday season City this year erating officer of Gan- THE WEEK AHEAD _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _23 from toys to electronics. The dis- iday season than they did last year, officially kicks off this sevoort Hotel Group. counts will be substantial, but this according to a Deloitte survey. week,but the memo has- On a recent Tuesday, just “New Yorkers are resilient,”says Jay n’t reached tourists. 60% of the property’s Scansaroli, a partner at Deloitte & While most hotels rooms were booked for 47 Touche. expect to be busy during the upcoming weekend. 5 The intent is there, but the the remaining weeks of Yet on that Friday and product may not be. Inventory is the year, their reservation Saturday, the hotel was down 15% to 20% over last year and books are distressingly nearly full, including ELECTRONIC EDITION reordering sold-out merchandise empty right now. Take guests who secured a this late in the game can be impos- über-trendy Hotel Gan- room in person on the NEWSPAPER See A RUN on Page 19 sevoort, which charges See WILL on Page 19 71486 01068 0 20091123-NEWS--0002-NAT-CCI-CN_-- 11/20/2009 7:02 PM Page 1 SEEDING THE REAL ESTATE CLOUDS IN BRIEF days to sell a Manhattan apartment,up 51 A GROUP OF HEALTH CARE FACILITIES, days from 2008,making auctions increas- INCLUDING MEMORIAL SLOAN-KETTERING, Auctions gain favor ingly attractive. New York-Presbyterian, Continuum Health Neighborhoods like Williamsburg, Partners and Albert Einstein College of Brooklyn, where condominiums have Medicine, is actively exploring building a been rising in recent years,are likely to see proton beam therapy center in or near the city. the most auctions, according to brokers. The news came last week as state health amid condo glut But pockets of Manhattan, including officials met to look at the technology that Harlem and the financial district, are also allows radiation to be emitted in precisely likely to see their share of auctions. focused cancer-killing doses. But speedy sales come at steep price There have been 150 sales so far this year in the financial district. At that AS THE RECESSION GRINDS ON, PERKS LIKE New York, there is clearly a supply of in- pace,it will take up to five years to absorb MUSEUM MEMBERSHIP SEEM TO BE GOING BY AMANDA FUNG ventory that needs to be absorbed.” the inventory, according to Kelly Mack, the way of fancy nights out. Income from Still, many industry experts predict president of Corcoran Sunshine Mar- membership fees at the Metropolitan Museum earlier this month, 260 people that auctions, which have been prevalent keting Group. Recent Crain’s research of Art declined 9.8%, to $22.7 million, in the crowded into the ballroom at the Marriott in hard-hit markets like Florida and Cal- shows there are at least 1,400 units there fiscal year that ended June 30, from 2008. New Hotel in downtown Brooklyn for an auc- ifornia for several years now, will take a that are either for sale or about to enter members continued to join the institution, tion that promised bargain-basement while to catch fire here. In part, that re- the market. however, albeit at cheaper levels. Membership to prices on 16 newly built luxury condos at flects the reluctance of the creditors of “Auctions would be helpful in submar- the Met’s Internet level—MetNet—increased by a nearby Greenpoint development called some big distressed developments to see kets where there is so much excess inven- 2%, to 27,646 members.The numbers were The Locale. In the end, four bidders be- their investments marked down for a tory,” says Ms. Mack. released in the Met’s annual report. came proud apartment owners with win- quick sale at auction. Arc Development, the owner of So- ning bids of as little as $272,000, or 44% laria in Riverdale, has another reason to THE COMMUNITY SERVICE SOCIETY OF NEW off the original asking price. Inventory has spiked auction off its units. The tower was the YORK—A 160-YEAR-OLD ADVOCATE FOR THE The auction was the first of its kind in “it will be a gradual process,but auc- first high-rise luxury condo built in the city’s poor—has agreed to purchase City Limits, the city, one in which a developer put all tions will become more of a phenome- area in 20 years, so there were no other which reports on the city’s nonprofit, policy and of the units in a project on the block— non,” says Jonathan Miller, chief execu- comparable luxury high-rises to set price activist worlds, from City Futures Inc.
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